The Impact of Blockchain on IP and Blockchain Patent Filing Trends
As standards for proving innovation get higher, Blockchain has been useful in recording a decentralized digital ledger of transactions. The information stored is copied and distributed across a network of computers and devices rather than a single location. This makes the information records public and accessible to all.
How does it help with asset management?
Blockchain can help with managing your asset in three ways:
- Open Collaboration: Blockchain enables open collaboration across your networks. It does so by creating an interlinked system that comprises of technology, third party service providers as well as internal systems. Such a system enables collaborations – partnerships with different processes – as well as guiding interactions/transactions managed by blockchain.
- Asset and Transaction Transparency: Transactions that are performed on blockchain cannot be altered or changed without network permission. Which means that all the activities are duly verified, and an accurate record is created for asset managers to analyze the risks, performance and make strategic decisions with regards to network planning. It also makes data sharing, particularly asset history seamless and flexible.
- Consistency: Blockchainmanages the way it collects data as well as the way it is shared across partners for consistency and completion. What this means is that throughout the asset’s life, there is no chance of a missing or incomplete data. The ‘block’ is duly verified by participants and its creation is set upon the completion of pre-set rules. Therefore, if anything is not in the blockchain, it’s assumed that it never happened.
How Does Blockchain Help in the IP Sector?
- Transparency – As data is not stored in a single location, the records kept in blockchain are public. Which also means that they can be easily verified too. As there is no centralized version of information, it gets almost impossible for the hacker to corrupt the system.
- Incorruptible – As the information stored in ‘blocks’ are identical across the network, the blockchain cannot be controlled by a single entity. It also means that it has no single point of failure.
- Immutability – Every new block carries the fingerprint of the last block and the one before it. Which means that no one can go back and make changes to a single block. This makes blockchain immutable and ever more favourable for IP.
Blockchain Patent Filing Trend
Blockchain has evolved rapidly between 2013 to 2019. The chart below shows the US blockchain research trend in the past decade:
Top Blockchain Patent Holding Companies:
The above chart reflects the leading companies owning blockchain patents in US. IBM leads the race with around 237 patent families in blockchain. IBM’s Maximo network is designed to complement the IoT industry by its asset management capabilities.
If you’re looking for an investor, the best way to prove your innovation is by protecting your idea.
Secure your position as a leader in blockchain
Blockchain Trends – With the popularity of cashless payments, the relevance of blockchain technology in financial transactions has boomed innovation. Consumers still have apprehension upon usage of blockchain-powered currencies. One of the most important factors to consider while adapting to cryptocurrency and blockchain is the question of cybersecurity.
Blockchain start-ups working along the lines of cybersecurity technology will boom in years to come. And, as the marketplace becomes crowded, the question that remains is whether your blockchain product is unique enough to gain traction and be identified as a unique product. For that, patents become all the more important to show investors why your product is unique and also to block competitors from replicating your ideas.
One of the emerging blockchain investment products is Blockchain ETF. As blockchain technology gets popular, blockchain ETFs have gained momentum, especially after the Bitcoin downfall. Blockchain ETFs were launched on the London Stock Exchange (LSE) and is a specialised product that works by targeting companies that could have substantial earnings from blockchain. The technology that powers these ETFs has the chance to be patent-worthy!
With time, bigger companies will hunt for smaller start-ups to collaborate on a cross-technological level. Blockchain start-ups can then benefit from either launching their product inn the market or be acquired by a bigger company.
Could Blockchain be a Game-changer in India?
According to the recent NASSCOM Avasant India report, investments in blockchain industry have doubled to USD 20 billion.
Source: Avasant NASSCOM
It is noteworthy that the investment has been well-distributed across different industries, with an emphasis on solutions around payments. Indian public sector, in particular, is quickly emerging as a large consumer of blockchain technology. Several blockchain projects have been initiated in almost half of the states in India.
Apart from the public sector, private sector – BFSI has also taken steps in enabling blockchain projects and imposing steps in place to cater to the needs of blockchain start-ups in India.
The investment, however, is relatively low, when compared to global numbers. The patenting activity in India has witnessed an upward climb in the past five years as can be seen in the chart below:
Patent Activity in India
India accounts for only a fraction of the blockchain start-ups all over the world. While the global demand for blockchain expertise grows, it presents a unique opportunity for Indian blockchain start-ups. It will be interesting to see how much relevance is found in the adaptation of blockchain methods in the Indian eco-system. If you are a blockchain start-up looking for a way to protect your unique blockchain idea, get in touch with us.
-The Editorial Team